Mkts in red for 3rd session on unabated FII outflows

Mumbai: Equity benchmark indices Sensex and Nifty stayed on the back foot for the third straight session on Wednesday as investors offloaded utility, capital goods and metal stocks amid foreign fund outflows.

Besides, investor sentiment remained subdued ahead of the outcome of the US Federal Reserve’s policy meeting, scheduled for Wednesday, traders said. The 30-share BSE benchmark tumbled 502.25 points or 0.62 per cent to settle at 80,182.20, taking its downtrend to the third day. During the day, it tanked 634.38 points or 0.78 per cent to 80,050.07. As many as 2,563 stocks declined while 1,442 advanced and 94 remained unchanged on the BSE. The NSE Nifty declined 137.15 points or 0.56 per cent to 24,198.85.

“The near-term market construct has turned weak, with FIIs turning sellers on rallies. Tuesday’s massive FII sell figure of Rs6,410 crore in the cash market indicates that more selling is in store on market bounces. The focus of global markets today will be the Fed decision expected tonight. A 25 bps rate cut is priced in by the market. So, the attention will be on the Fed commentary,” said VK Vijayakumar, Chief Investment Strategist, Geojit Financial Services.

The market capitalisation (mcap) of BSE-listed companies fell by Rs2.54 lakh cr to Rs4,52,60,266.79 cr (Rs452.60 lakh cr or $5.33 trn).